Russian state bank lent billions to fund privatization deal: reports | Reuters

Russian state bank lent billions to fund privatization deal: reports | Reuters:

"Russian state-owned bank VTB briefly lent over $11 billion to an entity controlled by Qatar and commodities trader Glencore four days after the Kremlin signed a deal to sell them a stake in state oil company Rosneft for a similar amount, two Russian newspapers reported on Tuesday. The existence of the short-term loan, if confirmed, muddies the picture that Kremlin officials painted of the deal, as a successful transaction that showed foreign investors were hungry for Russian assets despite Moscow's stand-off with the West. Russian President Vladimir Putin, who trumpeted the sale late last year of the Rosneft stake as a major boost to the state budget, had previously said Russian state-run banks should not bankroll such transactions."



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